+0.0008(+0.1294%)

+13.70(+0.23%)

+11.20(+0.19%)

-0.63(-1.02%)

-6.30(-0.47%)

-20.43(-0.30%)

TWU accused of anti-Qantas campaign

Qantas says a transport union is simply continuing its anti-Qantas campaign by claiming the airline will be split up and sold off at a "rock-bottom price" if a tie-up with Emirates goes ahead.

Flying kangaroo boss Alan Joyce announced on September 5 that Qantas had inked a deal with Dubai-based Emirates to share routes, frequent flyer programs, IT systems, airport facilities and other key parts of their businesses.

The tie-up, to replace Qantas's close relationship with British Airways, is yet to receive the green light from the Australian Competition and Consumer Commission (ACCC).

But Transport Workers' Union (TWU) boss Tony Sheldon said on Friday the deal could lead to Qantas falling into foreign hands and ceasing to exist in its current format - and even risk national aviation security.

He said Qantas had already sold its Adelaide-based catering business to Emirates, and he predicted more parts of the airline would be sold in coming years.

"I've no doubt in my mind whatsoever that the strategy that's been adopted by the present board and the CEO is a strategy that will mean the absolutely demise and break-up of Qantas," Mr Sheldon said.

But Qantas Group Executive Olivia Wirth said Mr Sheldon's comments were a continuation of the TWU's long-running campaign to damage the Qantas brand and had no basis in fact.

She said Mr Sheldon incorrectly stated that the Emirates partnership would mean the "demise" of Qantas.

"We've been very clear that this deal is about helping to stabilise Qantas International and creating a platform for growth," Ms Wirth said.

She said Qantas had explicitly talked about the potential to launch new Qantas routes, such as Perth-Auckland, that would not be viable without the partnership.

"We've also announced new service improvements, like increased baggage allowances and door-to-door service for premium passengers. None of this sounds like a demise to me," Ms Wirth said.

She said Mr Sheldon's statement that Qantas had sold its Adelaide catering centre to Emirates was wrong as the facility would be shut down, not sold, when the lease expired in 2014.

Ms Wirth said the proposed deal had been received positively by Qantas employees, including TWU members, by Qantas customers and stakeholders including the federal government and the tourism industry.

Domestic financial markets have welcomed the proposed deal, with Qantas's share price rising at least 10 per cent since it was announced.